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It will be nigh impossible to prove wash trading without the exchange being very obvious or primary trader identification. Famously, a Mt. Gox data leak actual
by gillesjacobs 5y ago
It will be nigh impossible to prove wash trading without the exchange being very obvious or primary trader identification.
Famously, a Mt. Gox data leak actually proved wash trading on that exchange conclusively as same trader IDs took their own orders. [1] So there definitely is proven precedent in the crypto market.
I am not saying it doesn't happen and isn't likely on unaudited/unregulated exchanges. I just want to highlight that the authors make very strong claims and alternative explanations should be explored.
1. https://dx.doi.org/10.2139/ssrn.3362153 https://dx.doi.org/10.2139/ssrn.3362153